News and Analysis
November 2, 2026
Hello and welcome to the Money News Roundup. Today, we cover the clash between the Treasury and CBK over the Ksh10 billion bank capital requirements and Quickmart’s dividend plans ahead of its NSE listing.
The Central Bank of Kenya (CBK) has directed commercial banks to ignore Treasury proposals extending the Ksh10 billion minimum core capital deadline to 2032, insisting lenders follow the existing law.
As reported by the Business Daily, banks must raise their core capital to Ksh5 billion by December 2026, Ksh6 billion in 2027, Ksh8 billion in 2028 and Ksh10 billion by December 2029.
CBK Governor Kamau Thugge told Parliament that lenders below the Ksh5 billion threshold must explain how they intend to meet the December deadline.
As of June 2026, 14 banks had failed to meet the Ksh5 billion requirement, while seven had yet to achieve the previous Ksh3 billion threshold.
The 14 banks were Habib Bank AG Zurich (Ksh3.997 billion), Guardian Bank (Ksh3.640 billion), Bank of Africa (Ksh3.620 billion), DIB Bank (Ksh3.390 billion), Paramount Bank (Ksh3.373 billion), M-Oriental Bank (Ksh3.170 billion), UBA Kenya Bank (Ksh3.123 billion), Middle East Bank (Ksh3.079 billion) and Premier Bank Kenya (Ksh3.073 billion).
The other banks were African Banking Corporation (Ksh2.700 billion), Development Bank of Kenya (Ksh2.189 billion), Credit Bank Plc (Ksh1.281 billion), Access Bank (K) Plc (Ksh893 million) and Consolidated Bank of Kenya (-Ksh523 million).
The CBK has warned that banks that fail to meet the minimum capital requirements risk being downgraded to microfinance banks.
Treasury CS John Mbadi had proposed removing annual milestones and giving banks until December 2032, citing the need to protect shareholder value and investor confidence.
Quickmart plans to distribute approximately 80% of its annual net profit as dividends after listing on the NSE, with payments expected twice yearly.
As reported by the Kenyan Wall Street, the retailer has projected Ksh2 billion in dividends for FY2026 and Ksh2.5 billion for FY2027, translating to estimated yields of 6.7% and 8.3%, respectively, at its Ksh7.50 IPO price.
However, the ambitious payout policy comes alongside expansion plans requiring Ksh1.8 billion in annual capital expenditure as Quickmart targets 125 stores by 2030.
Quickmart is scheduled to list and begin trading on the NSE on Thursday, 12 November 2026.
Healthcare costs in Kenya are projected to rise by 13% in 2027, potentially forcing insurers to increase premiums as hospital bills continue climbing.
As reported by the Business Daily, Aon’s 2027 Global Medical Trend Rates Report forecasts medical inflation will moderate from 13.5% in 2026 but remain above the global average of 9%.
The projected increase is also more than double Kenya’s expected general inflation of 5.9%.
Aon attributes the rising costs to expensive medicines, increased hospital visits, imported healthcare products and higher demand for specialised treatment, putting pressure on employer-backed medical insurance schemes.
Jubilee Group has appointed Juan Cazcarra as its new Group CEO, effective December 1, 2026, succeeding Dr Julius Kipng’etich, who retires on November 30 after eight years.
As reported by Citizen Digital, Cazcarra currently serves as Deputy Group CEO, a position he assumed in April 2025 after joining Jubilee in July 2021.
He brings over 20 years of insurance industry experience across Europe, Southeast Asia and Africa. Jubilee credited him with advancing digital transformation, improving operational efficiency and simplifying processes.
Kipng’etich’s tenure saw the group strengthen its regional presence, pursue sustainable growth and invest in talent development.
KenGen has appointed Prof John Kipngetich Mosonik as the new chairman of its board, following a meeting held on Monday, November 2, 2026.
As reported by the Star, Mosonik brings over 35 years of experience in engineering, infrastructure, energy and strategic governance. He previously served as Principal Secretary for Infrastructure, overseeing the development of 6,000 kilometres of rural roads across all 47 counties.
He holds a PhD in Strategic Management from Moi University and a Doctorate in Business Administration in Strategic Leadership. He currently serves as Chancellor of Rongo University and Associate Professor at Kenya Highlands University.
The United States plans to suspend South Africa and Rwanda from the African Growth and Opportunity Act (AGOA) effective January 1, 2027, threatening exports worth billions of shillings.
As reported by Reuters, US Trade Representative Jamieson Greer cited concerns over human rights, corruption and threats to American interests.
South Africa, the programme's largest beneficiary, exported goods worth approximately Ksh219 billion (US$1.7 billion) to the US under AGOA in 2025, including vehicle parts, citrus fruits and wine.
Rwanda's affected exports include coffee and minerals. The suspensions could disrupt access to the lucrative US market for both countries.
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